Aura brings projected costs down at Tiris Uranium Project

Aura Energy announced on Wednesday that, following ongoing metallurgical optimisation and modelling, particularly around the leach reagent recycle and consumption, the operating cost for the Tiris Uranium Project had been reduced by an estimated 35%.

The AIM-traded firm said the estimated Tiris operating cost now stood at $19.40 per pound.

Aura said it was currently completing a definitive feasibility study on the Tiris project, which included additional resource definition work and metallurgical test work.

The breakthrough had arisen from additional internal modelling using previous test work data to optimise primary leach reagent usage, the recycle of leach agent in the plant and consumption of the leaching reagent via impurities, the board explained.

“Aura has continued to work at improving the financial outcomes of the Tiris project and this reduction in operating cost will have a significant impact on project cash flow,” said Aura’s executive chairman Peter Reeve.

“It will also positively impact the approval threshold required for the project given current uranium prices.”

Reeve described the technical team as “diligent and experienced” adding that the breakthrough was testament to the team’s work.

“The Tiris project has many natural attributes including shallow mining, beneficiation and a low development capital.

“Incorporating this new optimised reagent usage in the study to lower the operating cost below $20 per pound uranium now makes the Tiris Uranium Project one of the most compelling uranium development projects in the world.”

The Aura board said the refinement of the estimate represented the “most accurate assessment” of the Tiris operating cost since the initial conservative approach in the scoping study.

Additional test work was still required to confirm all aspects of the operating cost, but Aura said it maintained “conservative assumptions” which could lead to a further adjustment in operating cost with additional test work and optimisation modelling.